If you’re someone that has just moved to the United States, it can be hard to determine what it is that you need to do in terms of money. How can you know that you have the resources that you need and that will allow you to find success?
While it’s not always easy to find a credit card for immigrants, it is a necessity. You want to get a credit card as soon as you can so that you can establish yourself financially. Why is a credit card a necessity for any American? Here’s a quick look at some of the things that a credit card may be able to provide for you as a new citizen or resident.
You need it to build a credit score
Credit scores are everything in the United States economy. The fact of the matter is, if you don’t have a credit score, you’re unlikely to be able to do much of anything in regards to money. Most banks will not give you any loan (and sometimes, not even a bank account!) if you don’t have a credit score. Your credit score is calculated in a manner that allows potential lenders to see whether or not you’re a reliable individual that will pay your loan back.
In some (very specific) cases, you may even have difficulty finding employment if you don’t have a credit score. Some companies will actually do some sort of credit check on you (it helps them to determine whether or not you are reliable). So, the sooner that you can get a credit card, the easier it will be to start getting your credit score established.
You want to have a “backup” in case of an emergency
Many people in the U.S. want to have some sort of backup available if there’s something going on with finances. Emergencies can happen and you want to be sure that you’ll be able to pay for it when those come up. Whether that means that you’re paying for an emergency room visit or you’re paying off the mechanic because your car has broken down, you want to feel confident in your options and know that you’ve got some sort of safety net (other than your savings) that can help you in a pinch.
They can protect purchases you make
One of the best things about credit cards is that they are a simple way to get some sort of protection on every purchase that you make with them. Many credit card companies have a system in place that allow you to file a claim if there’s an issue; if you were overcharged, if an item didn’t come as you expected, etc.
This level of protection keeps manufacturers and stores honest; and it allows you to save a lot of money and stress because credit cards take care of the difficult end of returns and refunds for you instead of expecting you to take care of it.
If used correctly, they can earn you money
Nowadays, most credit card companies do as much as they can to entice customers and encourage them to get a credit card. One of those things is “money back” when you make purchases and when you make on-time payments.
While you will always need to ensure that you stay ahead of things (so that you don’t end up paying a lot of interest), you can actually start to make some money if you are vigilant and find the programs that work best for you. Many companies will ensure that their info is easy to understand so that you can find what works best for how you spend money.
As a new resident, you may find it difficult to find someone that will provide you with a credit card of any sort. Companies like Nova Credit work with immigrants and new residents in order to help them get a credit card that can meet their needs and that is going to be affordable to keep up with. Do research to see what makes the most sense for your purposes and what is going to allow you to get the best results and that can help to build your credit effectively.